Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!
Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!
Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!

Building a Relationship with your Franchisor

It’s no secret that investing in a franchise involves a lot of effort, a tremendous amount of commitment, and a wealth of connections to maintain. While it’s true that much of this work amounts to running your own business, it’s important to recognize that there are other unique factors to consider. In particular, the relationship you have with your franchisor can be one of your most valuable assets and a key to your success. Let’s take a look at a few areas of focus that can help build a strong, mutually beneficial relationship with your franchisor.

Clear and open communication with your franchisor

Just like any other successful relationship, a foundation of clear and open communication with your franchisor is essential. As a franchisee, you are on the frontlines. Your feedback on how the business is running – which strategies are working and which are not, whether processes are successful or lacking, ideas for new initiatives or areas of improvement – is extremely valuable to the franchisor. Be sure to stay in touch regularly, and to reply promptly when the franchisor reaches out. At the same time, use this relationship to your advantage by asking for support when needed. Show your franchisor that you are proactive, engaged, and honest.

You should also be aware of the avenues for communication in place, and then use them to your benefit. Whether these are online portals, conference calls, meetings, etc. be sure to follow the expected lines of communication while also looking for additional opportunities to connect further. In particular, try to move beyond using only digital methods of contact; portal updates and emails are great, but to build a truly close relationship with your franchisor, take advantage of calls, meetings, in-person visits, and conferences.

Building trust with your franchisor

If you’ve taken the advice of the previous section to heart and put real effort into setting a standard of honest communication with your franchisor, you’ve already taken a great step toward the next key element of your franchisor/franchisee relationship: establishing a foundation of trust. In the bigger picture, this means representing the company well in order to maintain the integrity of the brand. While every franchisor has different expectations, and you should have the opportunity to share your feedback and ideas, you should also respect the overall vision of the franchisor. Do this by following the guidelines put in place, such as adhering to operational standards, ensuring timely reporting, and participating in marketing initiatives. Remember that while you are running the local franchise, the franchisor has systems in place based on knowledge and experience which are focused on running a successful business. Build a stronger relationship with the franchisor and show yourself as trustworthy by respecting their wishes, delivering on your promises, and meeting your goals.

Alignment of Goals and Culture

If we’re being honest, while good communication and mutual trust are key, it will be difficult to build a strong relationship with your franchisor if you do not align with the culture of the company. Ideally, this effort should begin prior to even choosing a franchisor to work with. Be sure to do your due diligence and research the values, mission, and culture of the company to see if it would be a good fit for you. You can research the company online, request informational materials from the franchisor, and even speak with other franchise owners to get a better understanding of company culture and expectations.

If you’re already working with a franchisor, you should hopefully have a pretty clear understanding of their values and goals. However, there are a couple simple actions that can help you to further strengthen your commitment to company culture. First, be willing to learn new approaches and new ways of doing things. Company values inform purpose, which in turn informs strategy, which helps to build procedures and initiatives. Your willingness to engage with new initiatives and approaches can demonstrate your commitment to the values and goals of the company. Similarly, by using the tools provided for recruitment, training, operations, and marketing, you can show your franchisor that you are invested in not just your business, but the culture (and therefore success) of the company as a whole.

Ultimately, what you get out of your franchisor/franchisee relationship is in a large way determined by what you put into it. Work on building a strong relationship with your franchisor by aligning with company culture, creating a foundation of trust, and proactively establishing clear and open communication. Remember, your franchisor wants you to succeed and can offer you the tools and knowledge to do so, so make the effort to prioritize this relationship. 

Beware of Franchise Scams

A franchise is only as good as its brand name, which eventually determines the performance and success of other franchisees within the system. Aside from happy franchisees and a strong brand, another indicator of a strong franchise is one that utilizes a broad recruitment process, which at some point replaces the selling process so only the best prospects gain entry into the system.

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Negotiating the Franchise Agreement

Now that we’ve discussed the franchisor’s point of view and arguments towards negotiating the franchise agreement, here are a couple of tips for not wasting time on trying to negotiate items which franchisors do not alter and concentrating on the change-able clauses in the Franchise Agreement.